Customer Behaviour & Decision Making
This report concentrates on providing a balanced view about the benefits and drawbacks of approaching customers as group segments or as individual consumers, by providing academic underpinning from reputable sources & personal critique.
“...Our DNA is as a consumer company - for that individual customer who's voting thumbs up or thumbs down. That's who we think about. And we think that our job is to take responsibility for the complete user experience. And if it's not up to par, it's our fault, plain and simply. “ Steve Jobs.
The purpose of this paper is to investigate the role of multiple actors in the customer behaviour and STP process, while observing the impact of key areas, such as: culture, globalisation, current marketing trends, postmodernism and brand affection. This study aims to contribute to the understanding of complexity, regarding market segmentation. The paper discusses the various problems that today’s marketer’s face and focuses on the emerging challenges of the new marketing reality.
This paper mainly deals with the concepts and issues surrounding the matter of consumption. Consumption is a complex social phenomenon, in which people consume goods or services for reasons beyond their basic use.
A consumer society is one in which the entire society is organized around the consumption and display of commodities, through which individuals gain prestige and identity. Given the above context, globalization brings about diverse trends, cultural differentiation and cultural hybridization (Pieterse, 1996).
The term “consumer culture” refers to cultures in which mass consumption fuels the economy and shapes perceptions, values, desires, and personal identity. Consumers do not make their decisions in a blank moment.
Their purchases are highly influenced by cultural, social and psychological factors. Therefore, a customer’s want has to be identified and his expectations must be matched with the other economic and social factors.
The world is moving and changing at a pace that is both positive and negative in a way. Britain is an exceptional example of this ongoing situation. London is now more diverse than any city that has ever existed. Altogether, more than 300 languages are spoken by the people of London, and the city has at least 50 non-indigenous communities with populations of 10,000 or more. (www.statistics.gov.uk)
People are changing from time to time, so do their tastes and preferences. Marketers are always concerned about cultural shifts and keen to discover new products or services that consumers may want. Understanding the ingredients and drivers of global consumer culture is the key to gaining insight regarding consumer behavior. In a diversified country like UK, culture not only influences consumer behavior but also reflects it. Marketing strategies are unlikely to change cultural values, but marketing does influence culture.